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March 18, 2009 Volume 10, Issue 05
Who's quoted in this week's issue?
Mike AtLee, Jim Beneke, Bryan Brady, Martin Brooks, Rafael Cruz, Giacinto Damiani, Sukh Dhillon, Wayne Gratton, Thomas Kleinkuhnen, Philip Privett, Natalie Reeve, Sukh Ryat, Steve Schultz, Roy Vallee, Bennett Wong |
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Avnet focuses on core values in difficult times
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Roy Vallee |
As seen in Nikkei Electronics Asia -- The electronics industry is entering a slump in 2009 due to a slowdown in demand caused by the global financial crisis. The downturn is expected to hit companies across a broad range of industry sectors. As one of the world's largest industrial distributors, Phoenix-based Avnet Inc is no exception. In this interview, Roy A Vallee, chairman and CEO of Avnet, shares his view on the current market situation, and discusses the measures the company will take to cope with this down cycle.
The electronics industry is poised to decline in 2009. As one of the world's largest distributors of IT products and electronic components, what is your expectation for 2009?
The first thing I should admit is, I don't know. We have all gone through cycles but each one has been a bit different. This one is a demand slowdown driven by the global credit crunch. We are not quite sure about the extent of the impact, but what I can tell you with a fair amount of confidence is that there are stark differences between this downturn and that of the early 2000s. In the early 2000s, we had overspending, and when the bubble burst there was a payback period. But in the years leading to 2008, there was no excess spending and the industry was running at relatively high utilization rates. In the early 2000s, the semiconductor industry was growing at around 30% a year, but half of that growth was merely price inflation. We are now going into a decline with no excess inventory and inflated prices; therefore, we don't have to work our way through that when growth comes back. My current expectation is that in the businesses we operate in (i.e. IT and components) we're looking at a single-digit drop on year-on-year sales, probably in the 5-10% range.
Full Story>>
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Electronics manufacturers look for distributor design help
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| Rafael Cruz |
As seen in Purchasing -- The mantra of show business is the show must go on. The same thinking can be applied to the electronics industry, where the belief is new product introduction must continue even during a recession.
While many electronics companies are seeing less demand for products in production, they are continuing to design and introduce new products. However, because many of them have lost resources during the recession, they are turning to electronics distributors for design help.
In some cases they consult with distributors’ field application engineers (FAEs) for technical advice on parts. In other cases, they use distributors design centers or teams to design a board or system. Sometimes they rely on their distributors to suggest third-party design houses to help with a new product.
Savvy buyers need to check out the design services of distributors to see if they match the needs of their design departments.
Distributors say OEMs are often busy during a downturn designing new products so they will be ready for production when the economy turns and equipment demand picks up.
Many OEMs are busy right now designing new products, says Tom Swist, manager of Arrow Consulting Engineering Services (ACES).
Full Story >>
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How REACH impacts electronics components
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| Steve Schultz |
As seen in Circuits Assembly -- Seven steps on navigating the new set of regulations for those importing assemblies to the EU.
The requirements of the European Union’s REACH (Registration, Evaluation, Authorization and Restriction of Chemicals) Directive are massive and involve manufacturers and importers of chemicals, compounds and articles. Here are seven basic points about REACH that every manufacturer of electronics assemblies selling product in Europe must understand.
1. No data, no market. If your company builds electronic assemblies for import into the EU, you are directly impacted by the REACH requirements. Failure to comply with these new regulations risks having your products denied access to the European market.
2. Reporting requirements. Electronic components are “articles” under the definition of REACH, as are electronics assemblies, and are subject to specific reporting requirements with regard to Substances of Very High Concern (SVHCs). The REACH Directive requires that SVHCs be controlled, reported, and eventually phased out in favor of safer materials when it is technically and economically feasible.
The manufacturer of electronics assemblies must determine if the electronic components used in their products contain any of the SVHC restricted chemicals/substances. If present, REACH requires that importers to Europe of articles, or manufacturers of articles in Europe, provide information on SVHCs greater than 0.1% w/w in the article to the immediate downstream recipient and to any other consumer that requests it. This requires the manufacturer to aggregate the total weight of each SVHC contained in its finished product and represent it as a percentage of the total weight of its product. This information must be provided free of charge and made available within 45 days.
Full Story >>
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The influence of lead-free RoHS guidelines on military electronics procurement
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| Bryan Brady |
As seen in Military & Aerospace Electronics -- Worldwide environmental RoHS requirements to use lead free solder and RoHS compliant processes continue to put the squeeze on military system designers who wish to avoid using lead free electronics because of tin whiskers and other potential impediments to high reliability electronics.
It has been nearly three years since the European Union ordered compliance with two sweeping environmental guidelines for electronics manufacturers:
-- Directive 2002/95/EC on Restriction of Hazardous Substances (RoHS), prohibiting the sale of electronic equipment in the EU containing lead, cadmium, mercury, hexavalent chromium, polybrominated biphenyls or polybrominated diphenylethers; and
-- Directive 2002/96/EU on Waste Electrical and Electronic Equipment (WEEE) policy for recovering and recycling products containing hazardous materials at the end of their useful lives.
Since then, China, Japan, Canada and other nations have issued similar rules and individual European nations have added more restrictions to the EU RoHS and WEEE initiatives, including placing an end date on the current open-ended RoHS exemption for military, aerospace and medical equipment.
Full Story >>
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Latest News Coverage
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Avnet, Inc.
March 16, 2009
Avnet CEO Roy Vallee to speak at Thunderbird School of Global Management
Avnet Inc. Chairman and CEO Roy Vallee will speak at Thunderbird School of Global Management this week on “Accelerating Profitable Growth: What the Strategic Planners Don’t Want You to Know.”
Business Journal of Phoenix
March 10, 2009
Avnet Trims FY Q3 Rev, EPS View As Business Weakens
Avnet (AVT) this morning trimmed its guidance for its fiscal third quarter ending March 28, citing “weaker than expected sales” in the Americas and EMEA regions in its Electronics Marketing group.
Barron’s
March 10, 2009
Electronics companies brace for a long, hard recession
Collateral damage. That term keeps coming up when electronics executives talk about today’s economic mess.
EDN
March 4, 2009
Avnet gets Fortune listing
Avnet has been named number one wholesaler in the electronics category in the annual “Most Admired Companies” list by Fortune magazine.
IT Examiner, India
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Avnet Electronics Marketing
March 6, 2009
Product how-to: DSP/FPGA platform for video surveillance
Article by Avnet's Jim Beneke: Surveillance applications are constantly evolving, adding new features like analytics, image stabilization, image recognition, motion estimation, and target tracking.
DSP DesignLine
March 10, 2009
Toshiba Taps Into Avnet Network
The first fruits of integrating the Abacus Embedded business into Avnet Embedded have been successfully delivered.
EPN Online, UK
March 9, 2009
Brainstorm: Environmental Issues
Which green technology has the most commercial potential?
ECN
March 4, 2009
Embedded World: Abacus Adds Muscle to Avnet Embedded
The amalgamation of the two specialist embedded businesses in Abacus and Avnet looks set to produce a potent force in the embedded solutions market.
EPN Online, UK
March 5, 2009
Embedded World: There is Life Out There!!
Nervous exhibitors constructed their stands at Embedded World wondering if any visitors would show up, and they did!
EPN Online, UK
March 5, 2009
Avnet bringt Datenmanagement, Archivierung, Storage und Virualisierung unter einen Hut
Integrierte Lösungen rund um Datenmanagement, Archivierung, Desktop-Virtualisierung und Storage stehen im Mittelpunkt des CeBIT-Auftritts von Avnet Technology Solutions in Halle 3, Stand 39.
IT-Business, Germany
March 4, 2009
Avnet Electronics Marketing Releases New Xilinx Spartan-3A DSP 1800A Video Kit and NEC 6.5-inch LCD Panel Kit
Avnet Electronics Marketing has released the Xilinx Spartan-3A DSP 1800A Video Kit and the NEC 6.5 inch LCD Panel Kit. Both kits provide solutions for exploring, prototyping, and developing designs in the video surveillance, machine vision, video processing, and embedded LCD panel interface applications.
SOCcentral
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Avnet Technology Solutions
March 9, 2009
Avnet Technology Solutions to distribute Lenovo products in Singapore Partnership to bolster Lenovo’s position in SME market
Hardware vendor Lenovo has appointed technology and marketing organisation Avnet Technology solutions to distribute its products in Singapore.
MIS Asia
March 6, 2009
Create a Candidate Pipeline to Aid Hiring Success
Authored by Avnet's Phillip Privett: With today's economy generating an increasing flood of available talent, how can companies filter the seemingly endless stream of resumes and quickly screen for the best candidates to interview?
Talent Management Perspectives
March 16, 2009
IBM Australian partners recognized at Business Partner Summit
Awards were handed out at the IBM Business Partner Summit to honour partner achievements during 2008. The Distributor of the Year honor went to Avnet Technology Solutions.
ARN, Australia
March 15, 2009
Avnet lifts the lid on Unified Communications Opportunities for the Channel
Avnet Technology Solutions recently hosted 100 at a unified communications seminar in its updated training and demonstration facility THE [resource] Bracknell.
Storage Networking Solutions Europe
March 13, 2009
CeBIT verkleinert sich zur Fachmesse
Ein Viertel weniger Aussteller, je ein Fünftel weniger Messefläche (200.000 Quadratmeter statt 240.000) und Besucher (400.000, nach 495.000 im Vorjahr) – so lautet das Fazit der CeBIT 2009.
I+K Newsletter, Germany
March 12, 2009
Avnet präsentiert auf Roadshow »Future Office«
Avnet Technology Solutions vereint in seinem »Avnet Future Office« die Lösungen für Server- und Desktop-Virtualisierung verschiedener Hersteller in einem Gesamtkonzept. Dieses präsentiert der VAD nun im März auf einer Roadshow durch sechs deutsche Städte.
CRN Germany
March 10, 2009
Motion Computing bij Avnet
Avnet is officieel distributeur geworden van Motion Computing.
ChannelWorld, Netherlands
March 6, 2009
Cashing in on the Economic Stimulus Package
IT solution providers can cash in on the federal economic stimulus package—if they are ready for it.
The Channel Insider
March 6, 2009
Avnet mit Roadshow und Finanzierungsworkshop
Avnet Technology Solutions startet am 13. März in München mit einer "Future Office Roadshow" und lädt zwei Tage vorher zusammen mit der Hermes Kreditversicherungs-AG zu einem Workshop ein, bei dem es um Finanzierungslösungen für IT-Projekte geht.
ChannelPartner, Germany
March 5, 2009
Bergiers nieuwe salesdirector Avnet
Avnet Technology Solutions EMEA heeft Eddy Bergiers met onmiddellijke ingang benoemd tot regionaal verkoopdirecteur Frankrijk en Benelux.
ChannelWorld, Netherlands
March 4, 2009
Giacinto Damiani è country manager Avnet ItaliaData
Nel 2006 era stato nominato Director Business Partners per Ibm Italia. Damiani ha alle spalle oltre 30 anni di lavoro nella società
Channel Insider, Italy
March 4, 2009
Avnet Technology Solutions appoints Natalie Reeve to Sales Manager for Computer Components
Avnet Technology Solutions has appointed Natalie Reeve as Sales Manager of the Computer Components business in the UK and Ireland.
Comms Dealer, UK
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